SEBI to probe Mallya's dubious dealings

After the act of ED (Enforcement Directorate) and banks trying to frame charges against Vijay Mallya on various counts of money laundering and business dealings related to non repayment of loans , SEBI is all set to scrutinise Vijay Mallya's firms and its dubious operations. 

Mallya is suspected of siphoning of funds from various companies where he held substantial stakes. Corporate Affairs Ministry  and SFIO (Serious Fraud Investigation Office) have been alerted with regards to dubious operations of various companies held by Vijay Mallya.

It is has been observed by the regulator that Vijay Mallya has flouted several provisions in the companies act, exposing minority shareholders' interest in several companies. Forensic reports hint at irregularities and mismanagement of funds in Mangalore Chemicals and Fertilisers, another company promoted by Mallya.
Vijay Mallya may have diverted funds to United Breweries Holdings Ltd. (UBHL) , as suspected by the regulator. This diversion of funds in UBHL may have been in violation of laws and could have been detrimental to minority shareholders' interest. It is also suspected that the funds advanced from Mangalore Chemicals and Fertilisers were used to set up Bangalore Beverages Limited. Bangalore Beverages is now facing liquidity problems and is a subsidiary of UBHL. 

Apart from the siphoning of funds accusation , various UB group companies are also facing probes on various allegations related to violation of listing rules and certain provisions of companies act, which is being monitored by Corporate Affairs Ministry. 

Vijay Mallya remains in London unwilling to visit India and face charges . His passport remains revoked and his Rajya Sabha Membership is cancelled. A non-bailable warrant has been issued against him.